Automobiles have become an essential part of life for people around the globe. Buying a new or used automobile is one of the larger purchases most consumers make and most need to find financing to afford it. As a result, auto finance lenders have sprouted up across the country to satisfy this demand. This article details a few methods and best practices auto lenders can utilize to increase the probability of receiving payments on time and thus remain profitable.
The world is moving at a fast pace and most consumers do not have the time to send in a written check for monthly payments. Most don’t even know where their chequebook is! Auto finance lenders must adapt to the times by providing borrowers with convenient payment options. Your customers are driving high-tech automobiles – they want a payment experience that matches.
It is necessary to make it easy for borrowers to pay via web-enabled devices – such as computers, smartphones, and tablets. Your payment processing system should also provide borrowers with the option to pay by credit card, debit card, or ACH. By utilizing internet payment options, your consumer’s user experience will be positive in all regards.
Online payment portals are a combination of the front-end interface borrowers use when making payments and the back-end payment processing software conducting the payment transaction from start to finish. Online payment portals should be easy to navigate as people do not want to spend a lot of time figuring out how to pay their bills. The back-end system also needs to smoothly process the transaction to ensure your business is paid in a timely manner. Of extreme importance is also the need to protect your borrowers’ financial information.
Provide Flexible Payment Options
Auto finance companies should offer borrowers payment flexibility so they feel in control of the situation. For example, allowing borrowers to choose their own payment date can drastically improve the chances of receiving timely payments. This method also keeps cash flow steady and on-target. Convenient payment solutions combined with an ongoing commitment to keeping up with the latest payment trends will help provide a seamless bill payment experience for your borrowers.
Payment Savvy specializes in providing auto finance companies with the best payment processing solutions available on the market today. Please contact us to review your options, apply for a merchant account, and to obtain answers to your questions. We look forward to hearing from you and working with your company.
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